Expert explains theories behind Bitcoin surge...
Bitcoin prices reaches reached £7,529.77 ($10,009) on the CEX trading platform earlier today, before slightly dipping in value.
Since the start of the year, the cryptocurrency has achieved the incredible feat of increasing more than 1,000 per cent in value.
But despite the incredible growth, economists are still apprehensive of the tokens inherent volatility and signs it could be a price bubble.
Just two weeks ago, bitcoin investors took a hit when the tokens prices plummeted over 20 per cent before bouncing back.
The price of the bitcoin depends on supply and demand of the cryptocurrency market. If the supply of the bitcoin decreases and the demand increases; the price of the bitcoin will go up but if the supply increases and the demand decreases, the price of the bitcoin will go down. The value of the bitcoin depends on the people who are buying and selling bitcoins.